J&J's Ethicon Agrees To Acquire Auris Health For About $3.4 Billion In Cash

(RTTNews) - Ethicon, Inc., a subsidiary of Johnson & Johnson (JNJ), agreed Wednesday to acquire privately held Auris Health, Inc. for about $3.4 billion in cash. There will also be additional contingent payments of up to $2.35 billion, in the aggregate, payable upon reaching certain predetermined milestones.

The transaction is expected to close by the end of the second quarter of 2019, subject to antitrust clearance and other customary closing conditions.

Auris Health is a privately held developer of robotic technologies, initially focused in lung cancer, with an FDA-cleared platform currently used in bronchoscopic diagnostic and therapeutic procedures.

Auris Health's technology will support Johnson & Johnson's vision of being a world leader across the continuum of surgical approaches, including open, laparoscopic, robotic and endoluminal.

This acquisition will accelerate Johnson & Johnson's entry into robotics with potential for growth and expansion into other interventional applications. Frederic Moll, CEO and Founder of Auris Health and a visionary in the field of surgical robotics, will be joining Johnson & Johnson upon completion of this transaction.

Johnson & Johnson is creating a connected digital ecosystem centered around using data to improve patient outcomes that leverages world-class robotic technology.